Apple said to have 1,000 engineers working on AR for the next iPhone

The next big thing for Apple could be augmented reality (AR).

According to UBS analyst Steven Milunovich, several industry sources claim that Apple has over 1,000 engineers working on an AR project in Israel which could be featured in the next iPhone. The project could include "moderate 3D mapping" and a software development kit.

Milunovich believes Apple is focusing its efforts on AR and not VR as the latter delivers "an isolating experience" where the user is cut off from the world by a headset. In contrast, AR adds another layer of information onto an existing environment. AR technology is also expected to take off faster for Apple as it has a huge iPhone user base.